Global Industrial Company Reports 3.2% Revenue Growth in Q2 2025

Global Industrial Company reported its financial results for the second quarter of 2025, revealing a revenue increase of 3.2% to $358.9 million compared to $347.8 million in the same period last year. For the first half of the fiscal year, revenue rose 1.3% to $679.9 million from $671.2 million. The company attributed this growth to strong sales among its largest strategic accounts, although there was a decline in sales from smaller, transactional customers. Gross profit for the quarter increased by 8.6% to $133.0 million, resulting in a gross margin of 37.1%, up from 35.2% in the prior year.

The company’s operating income from continuing operations also saw significant growth, rising 26.9% to $33.5 million for the second quarter, compared to $26.4 million in the previous year. Net income from continuing operations increased by 24.3% to $25.1 million, translating to a diluted earnings per share of $0.65, up from $0.52 in the same quarter last year. The increase in profitability was driven by improved gross margins and effective cost management, despite rising selling, distribution, and administrative expenses.

In terms of strategic developments, Global Industrial completed the acquisition of an equipment service provider in April 2025 for approximately $4.3 million. This acquisition is expected to enhance the company's value-added offerings in key equipment categories. The company continues to focus on integrating the operations of Indoff, which it acquired in May 2023, into its overall business structure. The integration is anticipated to impact ongoing information technology control remediation efforts and internal controls over financial reporting.

Operationally, Global Industrial reported an increase in accounts receivable, which rose to $156.8 million from $126.5 million at the end of 2024, reflecting higher sales. The company’s cash and cash equivalents also increased to $55.1 million, up from $44.6 million. The total liabilities increased to $281.3 million from $239.6 million, while shareholders' equity rose to $305.2 million from $281.1 million. The company maintained a strong liquidity position, with approximately $122.1 million available under its $125 million revolving credit facility as of June 30, 2025.

Looking ahead, Global Industrial anticipates continued revenue growth, although it acknowledges potential volatility in margins due to ongoing tariff impacts and inflationary pressures. The company is focused on managing its pricing strategy and supply chain diversification to mitigate these challenges. Management remains committed to maintaining strong cost controls while investing in growth initiatives, including technology upgrades and marketing efforts, to enhance customer service and operational efficiency.